RTi/NCCM Survey: Middle-Market Companies Post Gains
U.S. middle market companies posted solid revenue gains and added workers in Q2/13 — trends expected to continue in the next 12 months — sending the signal that business conditions for the segment have stabilized and serving as an indicator that the overall economy continues to improve, the NCMM wrote in a release.
The release also noted: Middle market companies, defined as those with annual revenues of $10 million to $1 billion, reported sustained increases in revenue and employment during the period, reversing declines seen earlier in the year. Stabilizing top-line growth and increased employment are fortifying optimism. Middle market executives increasingly feel confident about prospects for global, national and local economic activity. As a result they expect revenue growth to continue and they expect to add jobs in the next twelve months at a more rapid pace.
In addition, the release pointed out: Middle market revenue increases of 5.8% for the first half of 2013, and expectations for greater than 5% increases for the next 12 months, far outpace analysts’ 1.2% revenue growth estimate for the S&P 500 Stock Index, underscoring the importance of these businesses.
The release concluded that despite strong performance and forecasts, challenges remain. It said healthcare policies mandated by new legislation are chief among the concerns of middle market managers and that the group also cites concerns about other government regulations and finding the right workers, a gap in skills that is preventing them from adding even more jobs.
To read the entire news release, click here.